G20 Countries Call for Crypto Regulation and Licensing | Against Crypto Ban

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1 year ago

Topics: G20, Crytpo Regulations, G20 Discussing Crypto

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Disclaimer: This looks like financial advice, doesn’t it? You look at it from the right, it looks like I am pushing you to do what is written in the article. If you put your head down and think, you may be convinced that this indeed is financial advice. If you close your eyes, it may seem logical to do what is in the article.

Even then - Do Your Research! This is not financial advice! 😊

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Okay, the Summary First | TLDR | Then My Economist Talk

So, the G20 countries are the top 19 wealthiest countries and 1 European block, which is presided over by one country that takes the presidency for two years. The last slot of two years was governed by Indonesia while the current two years term is under India’s presidency.

The good news is that India has called for *crypto regulation and licensing of crypto service providers while asking to drop the idea of a crypto ban at the G20 summit.* The summit is scheduled for two days starting today. The regulation has to be prevailing across borders since crypto is functional across borders, it was opined. This is heartening news covered and here is the local newspaper covering the topic.

Why is this important? Well, it also includes our beloved United States of America and hopefully rekindles their love for crypto. 😊

Now Everything Other Than TLDR | The Economist in Me Speaks!

No block has ever discussed crypto or given them enough space for discussion. This was one of the banes of the crypto world. Yes, there were institutions, and there were lone wolf billionaires (don’t read Elon) advocating crypto, but they weren’t sufficient voices to make people sit up and take note. At most, these voices would be influencing those who were already in the crypto space. The ones outside remained outside.

So, what changed now? Now under India’s G20 presidency, twenty top economies of the world are asked to take a closer look at crypto; and that is in a good way. This changes everything. Countries discussing and adopting crypto have a larger ramification than just a few corporates. Now, it could very well encourage all corporates, entrepreneurs, and innovative ideas to enter the realm. How is that? Lovely, right?

That’s what’s happened. In technical terms as quoted in the paper clip above, *under the request of the Indian G20 presidency, the IMF (International Monetary Fund) and FSB (Financial Stability Board) have prepared a policy paper called IMF-FSB Synthesis Paper: Policies for Crypto-Assets.* So, guys IMF is involved. Is there any more credibility check of the policy paper required?

But What Is G20? | Oh, Did I Forget To Mention That?

Well, G20 is the grouping of the nineteen richest countries in the world and 1 European bloc as a whole. In short, they are the countries commanding nearly 60-75% of the world’s wealth. Which countries form part of the G20 grouping?

These countries in alphabetical order are Argentina, Australia, Brazil, Canada, China, European bloc, France, Germany, India, Indonesia, Italy, Japan, South Korea, Mexico, Russia, Saudi Arabia, South Africa, Turkey, the United Kingdom and the United States.

The big thing is that the United States is on board this discussion which would be encouraging for all American crypto users who had been witnessing crypto after crypto being called “securities” under the lovable and kind Gary Gensler of the SEC (do I need to put /s?) 😉

What More?

This Discussion on Crypto Is One of the Main Agenda Among Other Things | The Summit is Already On

Of the many things that the G20 will cover, crypto gets its fair consideration. This is huge, as the twenty-largest economies have much more important issues like hunger, climate change, controlling gas emissions, and other topics to cover. So, crypto among them is not bad.

Also, the ask is *not to ban crypto* as a ban may never be achieved taking into consideration the borderless operation of the cryptochain or blockchain. *The only ask is for greater cooperation in handling nefarious players indulging in money laundering, circumventing financial laws of the land, and inclusion of institutions like the Financial Action Task Force for timely action against wrongdoers across borders.*

This is a fair ask by any government but on the brighter side, it could also benefit honest crypto users. Any scammers in the future will be dealt with through proper mechanisms and structures put forth by the countries involved. Can’t get better than this!

So, Should We Start Celebrating Or Wait For Bitcoin Halving 😉

Well, the document is up for discussion and there would be ups and downs and Garys in the fray. But the very fact that the IMF is involved in the policy-making assures tacit approval from the United States’ side. That is encouraging considering no other country in the G20 has a formal framework opposing crypto.

So, Americans can breathe easy. We got your backs cryptobros! 😊

On that note – start celebrating but wait for developments. I will keep updating it over here.